Innovation has always been considered a powerful business value driver. Organizations define innovation differently and have a broadly understanding of the term. The Organization for Economic Co-operation and Development (OECD) defines innovation based on the four types of innovation: product innovation; process innovation; marketing innovation and organizational innovation.
smartKPIs.com contains a library of Innovation KPIs, that supports building the strategy, model and culture for innovation development within the organization. This variety of measures include:
- # New-to-company opportunities in new markets
- # Innovation recognitions received by the organization
- % Idea submission rewarded
- % Idea conversion rate
- % Training programs for newly introduced innovations
A practical perspective for implementing the innovation strategy within the organization is presented in the following interview with A.G. Lafley, Chairman and CEO of Procter & Gamble, realized by Harvard Business Publishing.
Acknowledgment of innovation’s importance as a business value driver represents the first step for an organization to update its innovation strategy for generating growth.
Additional resources:
Organization for Economic Co-operation and Development (OECD)
Harvard Business School, P&G’s New Innovation Model
